A Call for a New Monetary Regime — Liberation from Zero Lower Boundary

Zero lower boundary has been already breached in the sphere of monetary policy in some countries: e.g. Denmark, Japan, Sweden, Switzerland, and the eurozone (Martin & Wigglesworth, 2019). And the blackhole of negative interest rates has been expanding beyond policy rates. It has already penetrated both deposit and lending rates in the private sector. As an example, at…